Mania Musings & Bubble Bits

Various ramblings out of the financial and popular press reflecting the robotic, linear thinking that seizes a crowd at major market turning points.

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Tuesday, January 10, 2006

Financial Planning in a Bubble

Remember back in July 1999 when a disgruntled speculator named Mark Barton shot up his brokerage, then went and turned his rage on his family?

No disgruntled worker can justifiably shoot up his former place of employment, and no disgruntled speculator can justifiably shoot up his brokerage. But it would not surprise me at all if in the future, financial planners, realtors, and brokers were in danger from mentally unbalanced clients who suffer huge losses from acting on advice from these purported professionals.

To tell somebody that since they have so much equity in their house they ought to take out a home equity loan and put the cash in the stock market is plain irresponsible. My my, how short memories are.

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